Home Economy Big Budget Slashes …LEC, Agriculture, Others Affected

Big Budget Slashes …LEC, Agriculture, Others Affected

by News Manager

MONROVIA: The Institute for Research and Democratic Development (IREDD), has released its 2024 Legislative Performance Report, which highlights “significant budget cuts” for several critical institutions.
The report also underscores “a troubling disregard for public institutions crucial to improving the livelihoods of ordinary citizens and enhancing public sector efficiency.”

It named severe budgetary constraints facing key public institutions, including the Liberia Water and Sewer Corporation (LWSC), the National Disaster Management Agency, the Liberia Electricity Corporation (LEC), the Ministry of Agriculture, and district development initiatives.

“These constraints are undermining the delivery of essential services across the country,” the report indicated.

It points to significant budget cuts in 2024, particularly for the Liberia Elet5ricity Corporation (LEC), which saw its allocation slashed from US$9.7 million to US$4.4 million.

IREDD, in its report, disclosed that the corporation is “already grappling with high electricity tariffs and widespread non-payment of bills by public institutions, which, unfairly shifts the burden onto ordinary citizens.”

“The non-payment of electricity bills by public institutions, despite receiving electricity subsidies, is a major obstacle to the LEC’s ability to serve Liberians effectively,” the report stated.

The Unity Party-led government has repeatedly identified agriculture as a cornerstone of its ARREST Agenda, designed to drive economic transformation and poverty reduction.

However, IREDD’s findings suggest that “this commitment may be more rhetoric than reality.”

The government initially allocated US$5.7 million to agriculture in the 2024 budget but reduced the amount to US$3.7 million in the recast budget.
“To ensure the success of the ARREST Agenda, the government must prioritize agriculture in the national budget,” the report emphasized.

Investment in agriculture, it maintains, is critical for achieving food security, reducing poverty, and driving economic growth.

At the same time, the report criticized lawmakers for prioritizing legislative projects over community-driven development initiatives.

“While rural Liberia struggles with inadequate access to healthcare, education, clean water, and sanitation, the 2024 budget allocated just US$3.6 million for community district projects compared to US$13.2 million for legislative projects.

“This disproportionate allocation of resources highlights a serious misalignment of priorities,” the report noted.

“Legislative projects,” the report added, are often politically motivated, benefiting individual lawmakers rather than addressing the needs of their constituents.”

A ranking member of the Liberian Senate who preferred anonymity for backing the report without the Senate’s consent said, IREDD’s report paints a sobering picture of Liberia’s legislative and governance challenges.

“Without a shift in priorities—one that places essential services and public institutions at the forefront—the country risks deepening disparities and missing key opportunities for sustainable development,” he said.

According to findings from a 2021 International Monetary Fund (IMF) publication, Liberia’s urban centers—particularly Monrovia—are under immense stress.

Years of civil conflict left critical infrastructure such as roads, water systems, and electricity in near-total collapse.

While some progress has been made, the IMF warned that addressing urban governance challenges is essential for meeting the needs of Liberia’s growing population.

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